Holcim Lanka is a leading cement manufacturer in Sri Lanka, operating one integrated plant and one grinding plant. The proceeds from the sale of the business to Siam City Cement will be used to reduce debt at LafargeHolcim.
The latest deal follows an agreement earlier this month for the sale of Lafarge India to Nirma. LafargeHolcim has a CHF3.5bn (£2.7bn) divestment target for 2016 and has now secured three-quarters of the target.
Closing of the transaction in Sri Lanka is expected in the third quarter of this year.